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Watch out for 'orphaned emissions' hidden in fine print: MSCI's annual sustainability trends report

Jovi Ho
Jovi Ho • 7 min read
Watch out for 'orphaned emissions' hidden in fine print: MSCI's annual sustainability trends report
While last year’s 70-page report explored 32 topics across green bonds, nuclear energy and labour issues, this year’s edition focuses on eight topics over half as many pages. Photo: Bloomberg
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In 2023, much attention has been devoted to the controversy around environmental, social and governance (ESG) investing. While reports of ESG’s demise have been overstated, it is fair to say the industry is in a period of transition, says Laura Nishikawa, MSCI’s head of ESG research.

“Confusing terminology, definitions and labels have fueled challenges to ESG’s credibility from both sceptics and idealists alike. A positive outcome of the current backlash may be that years of inconsistency finally give way to greater clarity around language, goals and intentions,” says Nishikawa, a 13-year MSCI veteran who was appointed ESG research head in September

Nishikawa fronts the 2024 edition of MSCI ESG Research’s Sustainability and Climate Trends to Watch, released on Dec 12. The annual report examines hot-button issues in the sector. 

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